BlockQuarry Corp. (OTC: BLQC) has seen an astonishing surge, with its shares soaring by almost 950% within just a month, rising from November’s lows of $0.016 per share to a high of $0.166 on December 1st, 2023. This exceptional growth has garnered attention within the retail community due to its substantial returns. Amidst this upward trend, the company issued three press releases, complemented by several OTCM filings detailing the company’s quarterly and annual financial reports. Today, an analysis of these releases, filings, and broader market trends will shed light on BLQC’s recent remarkable valuation increase.
![](https://microcapdaily.com/wp-content/uploads/2023/12/Screen-Shot-2023-12-04-at-12.16.28-PM-300x135.png)
Background:
The primary source for comprehensive information about BLQC lies within their website, offering more specific insights compared to their press release ‘about’ sections. Their focus primarily revolves around providing all-in-one eco-friendly crypto mining solutions. This entails offering hosting, mining, energy, expertise, and infrastructure necessary for complete turn-key cryptocurrency mining operations.
BLQC employs a dual cryptocurrency revenue strategy, capitalizing on both mining and hosting income streams. While revenue from internal mining activities fluctuates with specific cryptocurrency prices, their hosting services generate income independently of crypto pricing. This balanced approach ensures steady cash flow growth from operations, regardless of Bitcoin or other cryptocurrency prices.
Although BTC stands as their primary mining target, BLQC appears open to exploring new opportunities in Crypto assets and Blockchain technology. Their Crypto mining operations currently rely on leased renewable energy power generation facilities located in Gaffney, SC, Rutherford, NC, and Mooreshead, NC.
Until March of 2022, the Company also offered management services include managing day-to-day billing and vendor activity for a health care business. Those operations are now classified as discontinued operations.
Market Dynamic:
Bitcoin (BTC) recently soared to a 2023 high, hitting $41,522 due to favorable regulatory shifts and an optimistic market atmosphere. Both the Momentum (10) at 3735.76 and the MACD Level at 1283.69 signal a ‘Buy’ for BTC, indicating potential positive trends ahead. Analysts are hopeful about BTC’s future, buoyed by retail investors’ optimism and the possible approval of a Bitcoin Exchange-Traded Fund.
As for crypto miner BLQC, these currency price surges significantly impact their mining profitability. Given BTC’s 150% surge, BLQC anticipates higher margins in their mining operations. The fluctuation of other currencies like ETH, SOL, and XRP, have also seen substantial gains recently. Suggesting bullish trends and contributing to an overall positive outlook for Cryptocurrency.
Subscribe to Microcapdaily.com Right Now by entering your Email in the box below.
OTCM Filings:
At the core of OTC companies lie their filings. These essential documents demand careful attention and thorough examination to gain a comprehensive understanding of their current status. Often, these OTC companies lack significant press releases or comprehensive websites, compelling investors to delve into their filings. These filings offer in-depth and accurate insights into their performance and fundamental well-being, serving as a crucial resource for investors seeking a clearer picture.
As for BLQC, they have OTCM filings which are less extensive than SEC filings, but are designed to provide investors with some basic financial information. Some OTC companies voluntarily register with the SEC to provide additional transparency and credibility to investors – BLQC does not appear to have done so.
2022 Annual Report:
Upon a preliminary review, the audited annual report for 2022 indicates potential weaknesses in its fundamental health. However, this does not preclude the possibility of the stock gaining momentum. Nevertheless, here are basic key numerical highlights from their Annual Report from 2022:
- Total Assets USD $5,436,686 vs. USD $10,796,530 December 31, 2021
- Total Liabilities USD $15,273,941 vs. USD $16,066,782 December 31, 2021
- Total Revenue USD $5,330,133 vs. USD $959,677 December 31, 2021
- Net Income Loss USD $(15,426,817) vs. Net Income of USD $3,546,376 December 31, 2021
2023 Financials:
Our initial evaluation, which includes unaudited quarterly results along with highlights from the 9 months ending on September 30th, 2023, indicates potential weaknesses in the company’s fundamental health. However their bottom line at least saw improvement. Here’s a concise overview of the figures:
- Total Assets: USD $2,944,195 compared to USD $5,436,686 as of December 31, 2022
- Total Liabilities: USD $10,343,408 compared to USD $15,273,941 as of December 31, 2022
- Total Revenue for the 9 months ending September 30th, 2023 USD $922,192 compared to USD $3,676,160 for the same period in 2022
- Net Income Loss for the 9 months ending September 30th, 2023 (USD $4,110,673) compared to (USD $8,398,772) for the same period in 2022
BLQC is currently experiencing a high growth phase, it’s not surprising to witness its fundamental financial health in a challenging situation, especially given the significant changes BLQC has been through since 2022.
There are undoubtedly several other factors that could potentially contribute to the company’s positive momentum. Let’s proceed with the evaluation of another OTCM filing.
OTCQB Certification:
BLQC put out an OTCQB certification filing. This filing essentially applies for and fulfills the necessary requirements to be listed on the OTCQB market tier.
Being listed on the OTCQB can offer benefits such as increased visibility, more stringent reporting standards, better access to investors, and potentially improved liquidity. It’s seen as a more regulated and credible marketplace compared to the Pink tier, which often provides investors with increased confidence in the company’s operations and financial reporting.
Subscribe to Microcapdaily.com Right Now by entering your Email in the box below.
Press Releases:
Considering the substantial recent gain, let’s examine the last three press releases, disseminated within’ the last month to evaluate their potential connection to the recent surge.
Regains Possession of Gaffney Mining Assets:
BLQC recently reached a settlement agreement for the case of Blockquarry Corp v. Litchain Corp, marking a significant victory for the company. Reclaiming essential mining assets in South Carolina allows BLQC to regain control over crucial equipment necessary for their operations. President and Chair Alozno Pierce has a positive outlook, outlining plans for debt consolidation and asset management to further enhance the company’s financial stability and operational efficiency. They’ll be relocating assets to a new site in Missouri and have plans to reduce dilutive debt with the proceeds from their settlement. This will once again, position BLQC for operational expansion and stronger financial footing.
New Management:
BLQC is looking to propel operational growth and appointed Lawrence Davis as Chief Operating Officer (COO) and Sam Escobar as Director of Ground Operations. Davis, a military veteran and entrepreneur, brings substantial experience in executive consulting, security, and digital assets. More recently Davis’ entrepreneurial journey led to the founding and establishment of a digital assets fund, Wandering King Studios, which specializes in Web 3 product offerings and digital assets.
Escobar, also a decorated veteran, excels in executive consulting and blockchain technology, showcasing expertise in operational scaling. Pierce expresses confidence in Escobar’s alignment with BlockQuarry’s vision for growth. Notably, Escobar’s contributions have been instrumental in establishing and scaling multiple companies, showcasing his operational prowess in growing profitable entities. His expertise extends to blockchain technology and digital asset management, being the founder of a software protocol currently used in gaming and augmented reality training. On top of this, he’s also an active board member of a well-established digital assets CPO fund.
With their leadership, BlockQuarry aims for innovative and successful operations in the public markets.
Revenue Growth:
BLQC updates on the success of its new Missouri site under COO Lawrence Davis and Chairman Alonzo Pierce. Since becoming COO, Davis has focused on innovation and growth, overseeing the launch of BlockQuarry’s self-mining site in Macon, Missouri.
Pierce commended the swift site transition post-Gaffney court ruling, highlighting confidence in Davis’s leadership. The Macon site’s current operations feature two pods, projecting an annual revenue of approximately $1.4 million – $1.7 million. BlockQuarry plans to scale up to four pods by year-end, with the site designed for immediate scalability, targeting 9 MW of operational power and an annual revenue of $3 million – $3.4 million.
Davis noted the site’s importance in accelerating BlockQuarry’s growth and showcasing expertise to prospective clients and public markets. The Company pledges continuous updates on its Missouri operations, revenue projections, and additional projects, reinforcing its commitment to enhancing operations and value for shareholders.
Conclusion:
BLQC has taken substantial strides forward by closing the chapter with Litchain Corp. This strategic closure has opened new avenues for BLQC, paving the way for enhanced operations. Moreover, the recent addition of seasoned operational executives, known for their track record in scaling profitable entities, positions BLQC favourably for growth.
Despite recent financials not depicting optimal health, other releases suggest positive progress. The surge in BTC has provided a positive environment for crypto miners, including BLQC, ultimately leading to improved financial performance with higher margins. While it might still be early, the latest investor optimism, potential OTC tier upgrade, bolstered management team, and advancements at the Missouri Site indicate a promising trajectory for BLQC. Keep an eye on them by adding them to your watch list.
We will update you on BLQC when more details emerge, subscribe to Microcapdaily to follow along!
Disclosure: We have not been compensated for this article/video. MicroCap Daily is not an investment advisor; this article/video does not provide investment advice. Always do your research, make your own investment decisions, or consult with your nearest financial advisor. This article/video is not a solicitation or recommendation to buy, sell, or hold securities. This article/video is our opinion, is meant for informational and educational purposes only, and does not provide investment advice. Past performance is not indicative of future performance.
Picture by MichaelWuensch from Pixabay